PNC Financial Services Group said Tuesday (Oct. 15) that it is prepared for lending to pick up after the Federal Reserve cut interest rates in September. During the third quarter, which ended Sept. 30, the bank's average loans, credit quality performance and allowance for credit losses remained stable, according to a Tuesday earnings release. "CNIB [Corporate & Institutional Banking] continues to have great momentum as new loan production and commitments increased this quarter," William S. Demchak, presiden ...

The PNC Financial Services Group, Inc.'s (PNC) third-quarter 2024 adjusted earnings per share of $3.49 surpassed the Zacks Consensus Estimate of $3.29. In the prior-year quarter, the company reported earnings per share of $3.60. Find the latest earnings estimates and surprises on the Zacks Earnings Calendar. Results were aided by a rise in fee income and higher loan balance. However, a decline in net interest income (NII) and an increase in provisions for credit losses, along with a rise in expense base, we ...

Financial Data and Key Metrics Changes - The company generated $1.5 billion in net income, translating to diluted earnings per share of $3.49, marking a strong performance for the third quarter [6][16] - Net interest income (NII) grew by 3%, with expectations for record NII in 2025 [6][10] - Fee income increased by 10%, driven by strong capital markets performance [6][16] - The tangible book value per share increased by 9% linked quarter and 24% year-over-year [10] Business Line Data and Key Metrics Changes - Average loan balances remained stable at $320 billion, with commercial loans stable at $219 billion [10][12] - Investment securities increased slightly by $1 billion or 1%, with a yield increase of 24 basis points to 3.08% [10][13] - Non-interest income was impacted by negative $128 million from visa-related activity, but overall non-interest income grew by approximately 7% year-to-date [17][18] Market Data and Key Metrics Changes - Deposit balances grew by $5 billion or 1%, with average deposits at $422 billion [10][15] - Non-interest-bearing deposits remained stable at $96 billion, constituting 23% of total average deposits [15] - The company expects the Federal Reserve to cut rates by 25 basis points in both November and December, which will accelerate deposit repricing [15][23] Company Strategy and Development Direction - The company is focused on organic growth opportunities, particularly in retail and commercial banking, with significant investments in branch networks in attractive markets [8][9] - The strategic planning process is ongoing, with management expressing confidence in the growth potential across various business lines [9] - The company aims to strengthen its capital levels and return capital to shareholders, having returned approximately $800 million during the quarter [11] Management's Comments on Operating Environment and Future Outlook - Management expects continued economic growth in the fourth quarter, with real GDP growth projected at approximately 2% for 2024 [23] - There is an anticipation of increased loan demand as interest rates are expected to decline further [7][23] - Management remains cautious about the commercial real estate (CRE) office segment, expecting additional charge-offs but believes they are adequately reserved [8][22] Other Important Information - The company reported a stable credit quality, with non-performing loans increasing by 3% linked quarter, primarily in the CRE office segment [21] - The allowance for credit loss totaled $5.3 billion, stable compared to the previous quarter [21] Q&A Session Summary Question: Can you clarify the swap rates and their implications? - Management confirmed that the received fixed rates on active swaps increased, indicating that new swaps are at higher rates than previous ones [25][27] Question: What are the underlying trends in loan demand? - Management noted that while loan growth has been slow, there is a constructive sign with increasing loan commitments, indicating potential future growth [32][33] Question: How do you see organic growth progressing? - Management expressed confidence in organic growth, particularly in commercial and retail banking, with plans for targeted investments in branch networks [79] Question: What is the outlook for net interest margin (NIM)? - Management expects NIM to approach 3% over time, with current increases being observed [42][43] Question: What are the trends in the C&I portfolio? - Management indicated that while there are more downgrades than upgrades, the overall portfolio remains healthy, with companies managing their operations more efficiently post-pandemic [81][82]

The PNC Financial Services Group, Inc (PNC) reported $5.43 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 3.8%. EPS of $3.49 for the same period compares to $3.60 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $5.37 billion, representing a surprise of +1.25%. The company delivered an EPS surprise of +6.08%, with the consensus EPS estimate being $3.29. While investors scrutinize revenue and earnings changes year-over-year and h ...

②PNC Third Quarter 2024 Earnings Conference Call October 15, 2024 Cautionary Statement Regarding Forward-Looking and non-GAAP Financial Information Our earnings conference call presentation is not intended as a full business or financial review and should be viewed in the context of all of the information made available by PNC in its SEC filings and on our corporate website. The presentation contains forward-looking statements regarding our outlook for financial performance, such as earnings, revenues, expe ...

The PNC Financial Services Group, Inc (PNC) came out with quarterly earnings of $3.49 per share, beating the Zacks Consensus Estimate of $3.29 per share. This compares to earnings of $3.60 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 6.08%. A quarter ago, it was expected that this company would post earnings of $3 per share when it actually produced earnings of $3.30, delivering a surprise of 10%.Over the last four quarters ...

Generated positive operating leverage; grew NII; substantially increased fee income and TBV PITTSBURGH, Oct. 15, 2024 /PRNewswire/ -- The PNC Financial Services Group, Inc. (NYSE: PNC) today reported:For the quarter In millions, except per share data and as noted 3Q24 2Q24 3Q23 Third Quarter Highlights Financial Results Comparisons reflect 3Q24 vs. 2Q24 Net interest income (NII) $    3,410 $    3,302 $    3,418           Income Statement ▪   Generated 1% positive operatingleverage ▪   Revenue stable; nonint ...

Wall Street analysts forecast that The PNC Financial Services Group, Inc (PNC) will report quarterly earnings of $3.29 per share in its upcoming release, pointing to a year-over-year decline of 8.6%. It is anticipated that revenues will amount to $5.37 billion, exhibiting an increase of 2.5% compared to the year-ago quarter.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 0.3% to its current level. This demonstrates the covering analysts' collective reassessment ...

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The PNC Financial Services Group, Inc. (PNC) is scheduled to report its third-quarter 2024 earnings on Oct.15, before the opening bell. The bank’s third-quarter 2024 revenues are expected to have improved from the year-ago quarter’s reported level, while earnings are expected to have declined.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.In the second quarter, PNC’s earnings outpaced the Zacks Consensus Estimate, driven by a rise in fee income, higher loan balance and reduced expe ...